HOW WE DO ITWe create long term value by investing in assets occupied by excellent operational businesses, let to education providers on long term leases which are located in good catchment areas.
The central pillar to our investment strategy is to invest in assets that are let to sustainable operational businesses, which we believe are excellently administered, where the buildings they operate from are structurally suitable for continued long term occupation by an operator while being well located to continue to attract students.
We have a very strong understanding of the operational businesses that occupy the assets we consider and we have long standing relationships with the sector on a general basis.
Like many of the specialist property investment sectors, the market for these types of assets still benefits from being relatively fragmented which we believe represents further opportunity. As with any burgeoning asset class values can vary significantly and we therefore believe in investing in only the top quartile of asset quality.
We identify the assets we invest in through our contact with the educational sector and the property market. We will consider sale and lease backs of single assets and portfolios, forward funding opportunities and regular investment opportunities.
We have been particularly successful with sale and leasebacks and have found that the model allows growing businesses to raise the maximum amount of funds at a lower overall cost to assist with their expansion through construction or acquisition. As well as providing funds to existing businesses, it has also provided valuable finance for organisations trying to acquire other asset backed companies.